BharatPe, a Prominent Fintech Company, Has Introduced Secured Loan Offerings

Nitin Konde, Bhoraniya Huda Hifzur Rehman

Aug 22, 2024 — 3 min read

BharatPe, a Prominent Fintech Company, Has Introduced Secured Loan Offerings

One of the leading financial technology companies in India, BharatPe, is now providing its merchant partners with secured credit options. The two-wheeler loan and the Loans Against Mutual Funds (LAMF) are the newest offerings from the financial technology company.

With this launch, BharatPe is expanding into secured lending for the first time, building on its recent success with unsecured loans.

Facilitating Easier Access to Capital for Businesses

The continued dedication of BharatPe to empowering merchants through innovative financial products was highlighted by Nalin Negi, the CEO of the company.

In 2018, BharatPe set out to provide millions of traditional retailers with cutting-edge financial technology solutions. "We have made tremendous strides in the past few years and have enabled our merchant partners to receive unsecured loans totalling over INR 15,000 crores," Negi stated.

He said that the firm's credit portfolio and relationships with merchants would be strengthened even more by the use of secured loans.

Connecting With OTO Capital, Volt Money

The new loan opportunities are made possible by BharatPe's partnership with OTO Capital and Volt Money. Loans for two-wheelers would be made available to BharatPe businesses through OTO Capital, an online marketplace and lending platform. There are a variety of payback periods available, from 12 to 48 months, and the maximum loan amount is 2.5 lakh rupees. Users may rest assured that their experience will be smooth because the entire procedure is digital.

With Volt Money's Loans Against Mutual Funds (LAMF) service, businesses can borrow up to one crore rupees.

The goal of the service is to make it simple for merchants to get the money they need to run their businesses.

Borrowers can rest easy knowing that OTO Capital and Volt Money will handle the loan distribution and repayment on BharatPe's behalf.

According to Sumit Chhazed, the Chief Executive Officer of OTO Capital, "Our mission is to make ownership of two-wheelers accessible and affordable for every aspiring entrepreneur in India. Collaboratively, we are dedicated to delivering mobility solutions that are easily accessible and will contribute to the success of organisations."

Bharat Lamba, the co-founder and chief business officer of Volt Money, made a similar statement: "We are uniquely positioned to meet the short-term liquidity and working capital needs of micro, small, and medium-sized enterprises (MSMEs) by providing instant loans against mutual funds." This enabled and empowered MSMEs financially.

Expanding the Range of Products

BharatPe's goal is to broaden its product offerings and generate new revenue sources, and the introduction of secured loans is a component of this larger strategy.

It is the intention of the company to introduce additional secured loan solutions in the future months in order to meet the requirements of a wider variety of merchants.

The company entered the gold loans market in 2022 for its merchants by forming partnerships with non-bank financial companies (NBFCs) and issuing loans of up to twenty lakh rupees against a gold commitment.

There are currently more than 13 million merchants who are a part of its base.